DeBeers affirms its diamonds are still in demand

DeBeers affirms its diamonds are still in demand

DeBeers Group published figures presenting it made US$660 million in its previous annual sales cycle yesterday.

The world’s largest diamond producer began publishing figures on its ten annual sales cycles in February to counter beliefs that its sales had decreased.

The ten sales events, known as “sights” are held each year for particular buyers. The volume and revenue figures for the cycles, where customers are able to buy boxes of rough diamonds, have been previously kept secrethowever this year De Beers have revealed the “sight-by-sight” figures..

The sights at the beginning of the year normally involve purchases of higher volumes of stones, when dealers restock after the Christmas holidays.

The group said it made $660 million in its third cycle this year, an increase from $617 million during the second cycle.

Philippe Mellier, De Beers CEO said 2016 has seen “significantly stronger rough diamond demand than in 2015” and the firm is now “moving into a part of the year where rough diamond demand has historically been lower as a result of seasonality, so we continue to adopt a prudent mind-set.”

The group’s owner, Anglo American (LSE:AAL) enjoyed a share increase of more than 5 per cent in London’s morning trading, having suffered a 70 percent drop in 2015.

@RGNOnline